In a press release issued Monday, the Oil Marketing Companies (OMCs) operating in The Gambia have expressed their dismay over unilateral decisions made by the Ministry of Finance and Economic Affairs regarding petroleum product pricing. The OMCs, serving as suppliers of petroleum products, employers, taxpayers, and business entities, highlighted several key grievances.

The Ministry has decided to reduce the trader premium on Gas oil, lowering it from $67.79 in March to $67.50 in April, despite the dollar currently trading at $68.50 upwards. This move has raised concerns among the OMCs, as it directly impacts their operational costs and profit margins.

Furthermore, the Ministry has adjusted the densities of Gas oil and Petrol to offset the effects of these changes, placing additional financial burdens on the OMCs. The dealer and transport margins were also reduced, without considering the rising fuel costs, operational expenses, regulatory standards, and municipality trading license fees.

The OMCs argue that the Ministry is using them to finance current road projects by increasing the National Road Authority (NRA) levy from D3 to D4.50 per liter. Despite these adjustments, the Ministry is still collecting D19.26 per liter on Petrol and D17.23 per liter on Gas oil, which the OMCs believe could be more reasonable and affordable for consumers.

Despite efforts by the OMCs to advise the pricing committee to make fuel prices more affordable to the general public, their suggestions have been disregarded. As a result, the OMCs have announced that effective Thursday, 4th April 2024, they will cease dispensing fuels on terms and conditions detrimental to their businesses, as the pricing committee has been disabled.

The OMCs have expressed their willingness to engage in dialogue with the Finance Minister to address these issues and have apologized for any inconvenience this may cause to the general public.